Zhang Mao, vice minister for the National Development and Reform Commission, said that by gradually decreasing the number of restrictions in the service sector, China hopes to attract additional foreign investors, China's official Xinhua news agency said Saturday.

Zhang listed stock ownership, investment destinations and overall business scope as areas in which regulations could be loosened.

"The point (of the transformation) is to absorb advanced technologies and management skills from foreign countries," he said. "Foreign investment companies are expected play a positive role in this regard."

The economic official did warn that foreign investors would not be able to only export goods under the new plan and that foreign projects deemed pollution threats or high-energy consumers would be banned.

In addition, Zhang told Xinhua there would be no changes regarding current restrictions on foreign investments in China's national security interests.